Stalked Esporta curbs overseas plans

BESIEGED health clubs group Esporta has defended itself against a hostile takeover bid from venture capitalist Duke Street by unveiling plans to scale back its ill-fated Continental expansion. Five planned and existing Continental clubs will be axed, with the management focusing on two successful operations in Spain.

Rejecting the offer, which at 80p a share values the company at £133m, new chief executive Maurice Kelly used the image of Star Wars-style hypnosis: 'Duke Street are trying to perform a Jedi mind-trick on shareholders by getting them to only concentrate on the past and forget about the changes we have brought in this year.'

He denied he had been courting other venture capitalists to back him for a management buyout. However, the London Evening Standard's Business Day section has established that Esporta's advisers Lazard has unsuccessfully sought offers from venture capitalists including Electra Partners.